How to get currency from USA?

[MAGNeT]

My uncle have been to USA and now he wants to transfer some 500 to 1000 dollars to us .As he wants to buy some product over here.

Wanted to know how can one get the same plus i dont want to get into hassle of transferring the money in my bank account and some enquiring waiting for me.

I have least idea about western union and all but any information provided would be really helpful.

 

[ivhere]

Paypal and Western Union are best available options.

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The procedure for receiving payment through Western Union is as follows:

After the sender has sent the money, the sender gets a 10 digit code number called the money transfer control number (MTCN), which is sent to the receiver

The receiver goes to the nearest agent location with the MTCN, sender contact details and proof of identity.

The agent verifies the contact details and if the details match those available at the Western Union terminal , releases payment in cash or by cheque (for larger amounts)

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For tracking status of transaction and agent location, you call on their toll free number : 1-600-44-1851( in India).

 

[agupta02]

If you use any service like Western Union and such, you would end up paying a lot of fees. Better is to have your uncle transfer the money into your bank account itself or use an online service like money2india etc for better rates. Since the amount is small, you can always declare it as a gift from your relative abroad and it should not be a problem.

 

[major9]

If you don't want the amount to show up in your PAN, use Western Union. Fees will come to about $10-20.

 

[MAGNeT]

Paypal and Western Union are best available options.

- - - Updated - - -

The procedure for receiving payment through Western Union is as follows:

After the sender has sent the money, the sender gets a 10 digit code number called the money transfer control number (MTCN), which is sent to the receiver

The receiver goes to the nearest agent location with the MTCN, sender contact details and proof of identity.

The agent verifies the contact details and if the details match those available at the Western Union terminal , releases payment in cash or by cheque (for larger amounts)

- - - Updated - - -

For tracking status of transaction and agent location, you call on their toll free number : 1-600-44-1851( in India).

Any idea how much would they charge.And is commission payable at sender side or receiver side.

If you use any service like Western Union and such, you would end up paying a lot of fees. Better is to have your uncle transfer the money into your bank account itself or use an online service like money2india etc for better rates. Since the amount is small, you can always declare it as a gift from your relative abroad and it should not be a problem.

Hmm ya forwarding to my mother wont be a big problem.But than lies the fact once done i feel he might again do the same and i guess in a year atleast 4000-5000 dollars might be sended than it might b a trouble.Any more option?

 

[agupta02]

Hmm ya forwarding to my mother wont be a big problem.But than lies the fact once done i feel he might again do the same and i guess in a year atleast 4000-5000 dollars might be sended than it might b a trouble.Any more option?

Well if he is your mother's blood brother, it can be shown as gift or maintenance or such on your mother's return. You need to consult your CA on this to get more clarity as there are a lot of exemptions available to women under Indian Tax Code. My personal opinion is generally against using services like Western Union as the fees generally comes out to be more than the amount of tax you might be liable to pay. Another thing to consider is that if your mother is a housewife and has no other income to her name, she can easily get upto 8 - 9k a year and still be tax exempt even if she shows it as income.

 

[MAGNeT]

Well if he is your mother's blood brother, it can be shown as gift or maintenance or such on your mother's return. You need to consult your CA on this to get more clarity as there are a lot of exemptions available to women under Indian Tax Code. My personal opinion is generally against using services like Western Union as the fees generally comes out to be more than the amount of tax you might be liable to pay. Another thing to consider is that if your mother is a housewife and has no other income to her name, she can easily get upto 8 - 9k a year and still be tax exempt even if she shows it as income.

Agupta thanks for the details.As i am doing my family finance i know about the taxing angles.

Blood relative can gift any amount so 5000 dollars or 5 million wont be trouble for her.But problem lies in the fact that its not a gift .Once he comes here or he want us to buy stuff hence whatever gift we get we need to pay back.

 

[agupta02]

You can suggest him to open a NRE account with any of the banks and make one of you a joint / authorized holder in the account so that you can operate it from here on his behalf. He would also have access to his money whenever he is in India and you in turn would not face any tax implications or source of funds issues.